On Thursday, China criticized comments made by U.S. Treasury Secretary Janet Yellen, calling them “irresponsible” and “unreasonable.”
Yellen had expressed concerns about China’s lending practices in developing countries, saying that these practices can trap nations in debt and hinder economic development.
In response, the Chinese government accused the U.S. of exacerbating debt problems through high interest rates.
Chinese Foreign Ministry spokesperson Mao Ning said at a news briefing on Thursday that China has always followed international rules and has conducted investment and financing cooperation with transparency. Mao called on the United States to take practical actions to help developing countries rather than making baseless accusations.
A recently published study showed that China has spent $240 billion bailing out 22 developing countries between 2008 and 2021, with the amount increasing in recent years as more countries have struggled to repay loans for “Belt and Road” infrastructure projects. China is currently negotiating debt restructurings with countries including Zambia, Ghana, and Sri Lanka and has requested debt relief from the World Bank and International Monetary Fund.
